NVDA closes on record high, Nvidia could top Apple as world’s most valuable company: Here’s what’s driving the latest rally

Chipmaker Nvidia’s stock may just be the hottest thing on the stock market—and as share prices rise, it’s getting closer to becoming the most valuable company in the world.

Nvidia’s shares were up Monday, priced at more than $138 at the end of the trading day. That’s up from below $135 on Friday, and up more than 18% over the past month. Opening up the aperture even more, Nvidia’s shares are up almost 61% over the past six months, and more than 187% year-to-date.

So, it’s hard to say that there’s a hotter stock on the market than Nvidia. But what’s fueling the recent surge to start the week?

In a broader sense, demand for chips to fuel AI technology is what’s really giving the company a boost. But within the past week or so, analysts have reaffirmed their bullishness on Nvidia, which is what may be helping propel share prices.

Specifically, Citigroup analysts recently gave Nvidia a “buy” rating with a price target of $150 per share, and a Goldman Sachs analyst piled on by likewise increasing its price target to $150, according to reporting from The Street.

As of Monday, the increase in share prices has lifted Nvidia’s market cap to nearly $3.4 trillion. That’s closing in on Apple, which has a market cap of roughly $3.49 trillion, and by that measure, is the most valuable company in the world. If Nvidia’s shares were to breach the $141 mark, it should be enough to push Nvidia’s market cap past Apple’s—making it the new most valuable company.

While it’s uncertain whether that will happen, Nvidia does have the wind in its sales. Its most recent earnings report, from late August, showed that the company beat expectations and reported quarterly revenues of $30 billion, an increase of 122% year-over-year. And this year, Nvidia stock has outperformed key rivals by a wide margin—including Apple, Meta Platforms, Alphabet, Amazon, and Microsoft.